Shake Shack smashes earnings expectations, shares surge 8%

Shake Shack just reported first-quarter earnings that smashed expectations across the board.

The fast-food chain got a boost from the launch of its Chick’n Shack burger, according to CEO Randy Garutti in the earnings statement.

The company reported adjusted earnings per share of $0.08 and revenues totaling $54.2 million.

So-called same-Shack sales — at stores open for at least one year — also crushed expectations, rising 9.9%.

Analysts had estimated adjusted earnings per share of $0.05 and revenues totaling $52.2 million, according to Bloomberg. Coming into Thursday’s earnings, the company had topped analysts’ forecasts for profits in all of the prior five quarters.

Same-store sales were estimated to rise 5.3%.

Shake Shack raised its expectations for revenues and profits this year. It sees revenues in a range of $249 million to $249 million, versus $237 million to $242 million earlier. Same-store sales are expected to rise by between 4% to 5%, up from the range of 2.5% to 3% earlier announced.

The company’s shares had fallen 25% from the January 2015 IPO through Thursday’s market close.

Refresh this breaking story for updates.

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